Preheat your oven to 350°F (175°C) and grease a 9x13 inch baking pan.
In a large bowl, whisk together the sugar, oil, and eggs until well combined.
Stir in the grated carrots and vanilla extract.
In a separate bowl, sift together the flour, baking powder, baking soda, cinnamon, nutmeg, and salt.
Gradually add the dry ingredients to the wet ingredients, stirring until just combined. Be careful not to overmix.
Fold in the chopped nuts, if using.
Pour the batter into the prepared baking pan and smooth the top.
Bake for 30-35 minutes, or until a toothpick inserted into the center comes out clean.
Allow the cake to cool completely before frosting with cream cheese icing.
Enjoy!